Representative in the United States Congress have revived the Token Taxonomy Act, a bill that precludes cryptocurrency from being categorized as securities.
The token bill was first introduced late last year by Representatives Darren Soto and Warren Davidson. It aims to prevent digital currencies from being classified as securities by updating two Securities Act filed in 1933 and 1934.
According to a recently released press statement, the Token Taxonomy Act is different from the one introduced in 2018. The new bill details the authority of the Federal Trade Commission (FTC) and the Commodity Futures Trading Commission (CFTC). It also underscored that a preemption clause was now included and would override oppressive laws like New York’s BitLicense.
Blockchain Rules to Keep US Competitive
The bill also pushes for the establishment of clear rules for companies and regulators in America’s blockchain industry. It’s also clearing up state rulings and initiatives that are conflicting and confusing.
The news further emphasizes the increasing power of the digital asset arena and the blockchain market in China and Europe. The bill’s authors strongly believe the legislation is needed to keep the country competitive.
Representative Soto clearly wants America to push forward and take the lead in blockchain. He explained that the Digital Taxonomy Act and the Token Taxonomy Act provides key definitions and regulations that will provide stability to a burgeoning digital asset market. It’s also a key step in encouraging innovation and ensuring that virtual currencies are optimized, while also safeguarding customers and investor interests.
The number of groups lobbying on behalf of blockchain technology have been increasing steadily. The previous year saw 33 projects launched in the last quarter. That’s a huge jump from the 12 introduced during the same period in 2017.